What foreign investors should know when invest in Vietnam?

tháng 1 30, 2021

We summarize in this article essential information for foreign investors who want to make an investment in Vietnam

I. How to invest

1. Forms of Investment

The General Investment Law distinguishes between direct investment and indirect investment. Direct investment involves the capital investment of the investor participating in investment management. In indirect investment, an investor can (A) buy stocks, certificates, bonds, or other valuable papers, (B) invest in an investment fund or (C) invest. through an intermediary financial institution; but in any case, the investor is not directly involved in the management of the invested enterprise.

For more detailed information, please click here: https://lookoffice.vn/forms-of-investment

2. Branches and representative offices of a foreign entity

Under the Commercial Law, foreign enterprises are entitled to establish representative offices or branches in Vietnam. Foreign businesses must be responsible before Vietnam’s law for all activities of representative offices and branches in Vietnam.

For more detailed information, please click here: https://lookoffice.vn/branch-representative-office

3. Procedures for setting up a foreign-invested enterprise

Investment certificate
Procedure
Licensing authority

For more detailed information, please click here: https://lookoffice.vn/procedures-for-establishing-a-foreign-investment-enterprise-in-vietnam

4. Taxation

The tax system in Vietnam includes the following main taxes:

Corporate Income Tax (CIT);
Import – Export Duties;
Value Added Tax (VAT);
Special Sales Tax (excise tax) or (SCT); and
Personal Income Tax (PIT).

For more detailed information, please click here: https://lookoffice.vn/how-to-invest-in-vietnam-taxation

5. Labor regime

Vietnamese and foreigners working in Vietnam must obey the Labor Code. The Labor Code has created a legal framework defining the rights and obligations of employers and employees, working hours, labor contracts, payment of social insurance, overtime, and suspension. public and termination of labor contracts, etc.

For more detailed information, please click here: https://lookoffice.vn/how-to-invest-in-vietnam-labor-regime

6. Land issues

Land Management Regime
Land Use Right Certificate
FIEs and Foreign Invested Projects
Foreign Investments in Real Estate
New Urban Center Development
Land Management in Ho Chi Minh City and Incentives in Investing in Ho Chi Minh City

For more detailed information, please click here: https://lookoffice.vn/how-to-invest-in-vietnam-land-issues

7. Intellectual property

Intellectual property (IP) is a key concern for every business, regardless of where they operate. This is equally true in Vietnam; Although the country is a party to many IP conventions, there are many reasons for foreign companies to work there to closely monitor IP violations. Therefore, it is important for foreign investors to have an understanding of how IP operates in Vietnam and what it can recover if they handle their own property violations.

For more detailed information, please click here: https://lookoffice.vn/how-to-invest-in-vietnam-intellectual-property